Acquisition will position New York's leading carrier1 of statutory Short-Term Disability insurance (DBL) and Paid Family Leave for long-term growth
GARDEN CITY, N.Y., April 10, 2024 /PRNewswire-PRWeb/ -- ShelterPoint Group, Inc., holding company of ShelterPoint Life Insurance Company and its wholly-owned subsidiary, ShelterPoint Insurance Company (together "ShelterPoint"), agreed to be acquired by Protective Life Insurance Company, the primary subsidiary of Protective Life Corporation (together "Protective"). Protective, the U.S. subsidiary of Dai-ichi Life Holdings, Inc. ("Dai-ichi"; TSE:8750), provides life insurance, annuity and asset protection solutions to more than 14.4 million people.
ShelterPoint and Protective are both committed to helping people achieve protection when they need it most – something ShelterPoint has been providing for over 50 years in New York as a leader in statutory Short-Term Disability insurance ("DBL")2; and, in more recent years, in the form of New York's state-mandated Paid Family Leave insurance ("PFL")2 as well as Paid Family and Medical Leave insurance in other states.
"As more states are requiring Paid Family and Medical Leave insurance, we're excited to receive the strong support of Protective on our path to making this essential benefit available in a growing number of states," said Rich White, Executive Chairman of the Board of ShelterPoint.
"This transaction will ring in and accelerate an inspiring new chapter for our company," adds Leston Welsh, CEO of ShelterPoint. "At the same time, this transaction is expected to empower ShelterPoint to even further enhance its longstanding DBL/PFL capabilities2 that customers have come to trust and rely on when needing to take leave."
"On our continued journey to grow our business and serve more people, we are thrilled to add new services to our portfolio through the acquisition of ShelterPoint," said Rich Bielen, President & CEO of Protective. "We look forward to welcoming ShelterPoint's customers and the company's talented teammates to Protective upon closing."
Once closed, the transaction will mark Protective's 60th acquisition and the seventh deal completed since Protective became part of Tokyo-based Dai‑ichi in 2015. Dai-ichi, a global leader with over $437 billion in total assets, as of Sept. 30, 2023, serves customers in 10 countries.
The transaction is expected to close before the end of the year, pending regulatory approvals and other customary closing conditions. Until the closing, both businesses will maintain separate operations.
Serving as external legal counsel for Protective were Kirkland & Ellis LLP and Maynard Nexsen. ShelterPoint is a portfolio company of Eos Partners and its affiliates, a New York based private investment firm. ShelterPoint was represented by Winston & Strawn LLP and Katten Muchin Rosenman LLP. Financial advisors for this deal included Fenchurch Advisory Partners US LP for Protective and Goldman Sachs & Co. LLC for ShelterPoint.
About ShelterPoint
The ShelterPoint family of companies consists of its founding entity ShelterPoint Life Insurance Company (principal office in Garden City, NY), and its wholly-owned subsidiary ShelterPoint Insurance Company (a FL-domiciled carrier), depending on the state. The ShelterPoint family of companies operates under the "ShelterPoint" name strictly as a marketing name, and no legal significance is expressed or implied. ShelterPoint's holding company, ShelterPoint Group, Inc. is not a licensed insurance entity. ShelterPoint specializes in statutory benefit programs in the Paid Family and Medical Leave space in a growing number of states. Since 1972, ShelterPoint's founding entity has grown into New York's largest1 carrier of statutory Short-Term Disability Insurance (called DBL, short for Disability Benefits Law), and has provided state-mandated Paid Family Leave2 (PFL, for short) since it became a state mandated benefit in 2018. As a result, in NY alone, more than 196,000 employers with 2 million employees3 trust ShelterPoint to help them strike the right balance between coverage and cost to comply with state regulations and complete their benefit equation. For more information about ShelterPoint, please visit www.ShelterPoint.com.
1 State of New York Workers' Compensation Board, form DB-680, 2016 – applies to ShelterPoint Life Insurance Company only.
2 Applies to ShelterPoint Life Insurance Company only.
3 Based on ShelterPoint Life Insurance Company DBL/PFL policyholder and certificate holder count as of 12/31/23 – applies to ShelterPoint Life Insurance Company only.
About Protective
Protective has helped people achieve protection and security in their lives for 117 years. Through its subsidiaries, Protective offers life insurance, annuity and asset protection solutions and is helping more than 14.4 million people protect what matters most. Protective's more than 3,800 employees put people first and deliver on the company's promises to customers, partners, colleagues and communities - because we're all protectors. With a long-term focus, financial stability and commitment to doing the right thing, Protective Life Corporation, a subsidiary of Dai-ichi Life Holdings, Inc. (TSE:8750), has $118 billion in assets, as of Dec. 31, 2023. Protective is headquartered in Birmingham, Alabama, and supported by a robust virtual workforce and core sites in the greater Cincinnati area and St. Louis. For more information about Protective, visit www.protective.com.
This press release contains forward-looking statements and information – that is, statements related to future, not past, events. Such statements are based on the current expectations and certain assumptions of the management of the companies involved, and are, therefore, subject to certain risks and uncertainties. A variety of factors, many of which are beyond their control, affect their operations, performance, business strategy, and results and could cause the actual results, performance, or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. Risks may include, but are not limited to uncertainties in connection with: disposing of business activities, certain strategic reorientation measures; the performance of its equity interests and strategic alliances; the challenge of integrating major acquisitions, implementing joint ventures, and other significant portfolio measures; the introduction of competing products or technologies by other companies or market entries by new competitors; changing competitive dynamics; the risk that new products or services will not be accepted by customers targeted by the company and its subsidiaries; changes in business strategy; its relationships with governmental bodies and customers; developments in the health care market, legislation, and regulation; changes to the independent insurance broker/agent industry; approvals of the New York State Department of Financial Services and Insurance Departments of other states; and various other factors. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the relevant forward-looking statement as expected, anticipated, intended, planned, believed, sought, estimated or projected. The companies neither intend to, nor assumes any obligation to, update or revise these forward-looking statements in light of developments that differ from those anticipated.
Media Contact
Marketing Department, ShelterPoint, 1 800-365-4999, [email protected], www.shelterpoint.com
SOURCE ShelterPoint
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